Gas

May 07, 2001

prices

soar

By MICHAEL JONES

On Tuesday morning the price of gas in Gaylord was $1.71 per gallon at most stations but by late afternoon many of those same pumps were serving up regular at $1.89; an increase of 18 cents per gallon. By Thursday some stations were even closing in on the two dollar mark for a gallon of regular gas.

Skeptical motorists paid the price. One motorist, Newton Putman said, "It's outrageous. The gas companies are just gouging us. I'm getting too old to drive but I've still got to get out now and then."

Gas station operators say they are also frustrated by the higher prices.

"We're frustrated by it just like everyone else," said Kevin Johnson, one of the owners of Johnson Oil, which has several gas stations situated in Gaylord. "It's something which just isn't within our control. The major oil com-panies don't get to hear our customers complain."

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One of the problems, according to Johnson, is the change in gasoline production at the refineries, from a winter blend of gas to a less polluting summer blend. "This is a summer problem we have been faced with for the past several years." While the major refineries make the switch in gasoline blends, and inventories decrease, consumers can expect to pay more at the pumps for a fill-up.

Just how much more is anyone's guess. "I don't know where it's going to level off at," said Johnson. "I think people are more prepared for it this year than last summer. People saw it coming, so I would guess that consumption is going to probably stay about the same, even with the recent increases. If it gets up to three dollars a gallon then people might start to cut back."

What impact might the increase in gas prices have on the local tourist-based businesses which rely on a steady stream of summer visitors to the Alpine Village? "I don't think it hurt things all that much last year, people already had their travel plans in place," said Pat Tholl, manager of the Gaylord Red Roof Inn. "Looking at this year we already have quite a few reservations for the summer. With the price of gas going up I think more people are staying closer to home."

In this case Tholl believes this translates into people making more trips north from southern Michigan this summer rather than traveling greater distances for their vacations. "If anything, I think the higher prices might send more people our way. We're a budget-based hotel, so people might be more inclined to stay here to off-set the higher gas prices."

If gas prices continue to rise, especially if they get up over $2.20 a gallon, Tholl thinks then there might be an effect on business here in Gaylord. "People might just stay put or only make one trip up instead of the two or three they may have done in the past."

Desirae Copenhaver, assistant manager at the Quality Inn, also thinks the higher gas prices could have a positive effect on tourism in Gaylord this summer. "Even though last summer's high gas prices were a shock to most people, I think they kept their original travel plans in place and we didn't see an increase or decrease in our business. This year though, I think people are going to consider shorter trips which means they will probably come up here rather than travel any great distances."